MGA - Possible long term play

TEL AVIV (MarketWatch) -- Magna International Inc. said late on Saturday that it would buy back as many as 20 million of its Class A shares for a maximum US$1.54 billion. story

Strong breakout in the monthly chart and its now at a pull back.

MGA monthly chart

Long-term pick: AOS

AOS monthly chart

A. O. Smith Corporation engages in the manufacture and sale of water heating equipment and electric motors to residential, commercial, and industrial markets principally in the United States. It operates in two segments, Water Products and Electrical Products. The Water Products segment manufactures and markets a line of residential gas and electric water heaters, commercial water heating equipment, copper-tube boilers, and water systems tanks. The Electrical Products segment produces hermetic motors, fractional horsepower alternating current (AC) and direct current (DC) motors, and integral horsepower motors. It also operates in Mexico, the People�s Republic of China, Canada, and internationally. The company sells its water heater products to plumbing wholesalers and retail outlets, and electric motor products to original equipment manufacturers and distributors. A. O. Smith Corporation was founded in 1874 and is headquartered in Milwaukee, Wisconsin.

I like this stock as a long term play. Look how it broke out of a 10 year base. It has tested it's breakout level of 35 and held.

Disclosure: I have no positions in AOS right now.

Long-term pick: LNN

This is a focus stock on today's Wall Strip. I like this stock because it is not overextended. I am tempted to open a long term account just so I can purchase some shares.

Disclosure: I do not own shares of LNN.